Large plumes of smoke are billowing from the roof of the West Hawk Lake Inn Friday morning near the eastern Manitoba border.
"There was smoke basically all over the building," said Layne Szasz-Nicholson, who saw the blaze. "It started coming out of the vents and everything and then we could start to see the flames coming up and then a couple windows blew out."
Falcon Beach RCMP responded to calls of a fire at the inn around 8:30 a.m. Friday.
Police said there was no one inside the hotel at the time, but the nearby West Hawk Campground had to be evacuated as a result of smoke.
One camper was treated for smoke inhalation but has been released.
Shaun Harbottle has a business across the street from the inn.
"It looks like the main roof and everything is collapsed down," said Harbottle. "There's not much left of the main roof system and some of the walls have burned down to the ground. It's kinda sad."
The damage to the restaurant is extensive, said Harbottle.
Harbottle said it's a big loss to the community. It's been a staple in the town since the 20s, he said.
Szasz-Nicholson said she expects the loss of the Inn will affect locals and cabin-goers.
"Oh, a huge impact. Like, wing night, last night, I was there. Everybody goes there in the summer," said Szasz-Nicholson.
"They have their big paint party tomorrow. Well, now they're not going to have it, but that's the biggest night of the summer."
Firefighters were on the scene battling the fire before 10 a.m.
The cause of the blaze isn't yet known, but an RCMP spokesperson said efforts to contain the blaze are being focused in the bar patio area.
RCMP said no one was hurt in the fire.